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Department of Energy Provides Nearly $88 Million to Low-Income Families for Home Weatherization

June 29, 2007 - 2:36pm

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Funding is Second Installment of $200 Million in Total Weatherization Grants for FY 2007

WASHINGTON, DC - U.S. Department of Energy (DOE) today announced $88 million in weatherization grants to 20 states to make energy efficiency improvements in homes of low-income families. Weatherization can reduce an average home's energy costs by $358 annually, and this year, DOE expects funding to weatherize approximately 70,000 homes nationwide.

For every dollar spent, weatherization returns $1.53 in energy savings over the life of the measures. DOE's weatherization program performs energy audits to identify the most cost-effective measures for each home, which typically includes adding insulation, reducing air infiltration, servicing heating and cooling systems, and providing health and safety diagnostic services. Other benefits include increased housing affordability and property values, lower owner and renter turnover and reduced fire risks. In 2006, DOE helped weatherize approximately 96,500 homes.

On average, Americans spend 5 percent of their income on paying energy bills, but for lower-income households the costs average 16 percent. These costs can include anything from heating and cooling their homes to running the lights, computers and other appliances.

DOE distributes weatherization grants to states three times a year - April, July or September - depending on when a state's weatherization year begins. Weatherization program grants are distributed by state energy offices through more than 900 local agencies. Every state, the District of Columbia, the Navajo Nation and the Inter-Tribal Council of Arizona will receive weatherization grants this year.

$204.5 million in Fiscal Year (FY) 2007 will be used to support weatherization. Of that, $88 million in awards announced today are for the 20 states whose weatherization year begins July 1; $112 million was made available in the spring, to the remaining 30 states whose weatherization programs began in April; and $4.5 million will be used for technical assistance and training in support of the program.